Centre–State Relations: Articles 245 to 293 and PYQs
Complete notes on Centre-State relations for exams: legislative, administrative and financial relations, the three lists of the Seventh Schedule, and the key commissions.
By GK24 Editorial Team· Published · 5 min read

Centre–State relations decide how power is shared between the Union and the States in India's federal system. The Constitution deals with the subject in two parts: Part XI, Articles 245 to 263, covers legislative and administrative relations, and Part XII, Articles 264 to 293, covers financial relations. The Constitution never uses the word federation; Article 1 calls India a Union of States. Dr B. R. Ambedkar explained the design in one sentence: the Constitution is federal in normal times and can become unitary in an emergency. For an examiner this is a chapter of article numbers, list entries and commission names, so it rewards memorisation more than argument.
Legislative relations: Articles 245 to 255
Article 245 fixes the territorial limits of law making. Parliament may legislate for the whole or any part of India and a State legislature for the whole or any part of that State; a State law is not invalid merely because it has effect outside the State, which is the doctrine of territorial nexus. Article 246 divides subjects into the three lists of the Seventh Schedule.
| List | Who legislates | Original number of entries | Examples |
|---|---|---|---|
| Union List (List I) | Parliament alone | 97 | Defence, atomic energy, foreign affairs, railways, banking, currency, post and telegraph, census |
| State List (List II) | State legislature alone | 66 | Public order, police, prisons, public health, agriculture, local government, land, liquor, betting |
| Concurrent List (List III) | Both | 47 | Criminal law and criminal procedure, marriage and divorce, bankruptcy, trade unions, electricity, education, forests |
The present number of entries differs from the original because amendments have added and omitted entries. The 42nd Amendment Act of 1976 moved five subjects from the State List to the Concurrent List: education, forests, weights and measures, protection of wild animals and birds, and administration of justice with the constitution and organisation of all courts except the Supreme Court and the High Courts. Residuary subjects, those in no list, belong to Parliament under Article 248 read with entry 97 of the Union List.
When Parliament may enter the State List
- Article 249: when the Rajya Sabha passes a resolution supported by two-thirds of the members present and voting, Parliament may legislate on a State subject for one year, extendable.
- Article 250: during a National Emergency, Parliament may legislate on any State subject.
- Article 252: when two or more State legislatures request it, Parliament may make a law for those States, and other States may adopt it later.
- Article 253: to implement an international treaty, agreement or convention, Parliament may legislate on any subject.
- Article 356: when the President's rule is in force, Parliament exercises the State legislature's power.
Article 254 settles conflict. If a State law on a Concurrent subject is repugnant to a central law, the central law prevails and the State law is void to the extent of the repugnancy; but a State law reserved for and given the President's assent prevails in that State, unless Parliament later legislates again on the same matter. Courts settle overlap by the doctrine of pith and substance, looking at the true nature of a law rather than its incidental trespass.
Administrative relations: Articles 256 to 263
Article 256 requires a State to exercise its executive power so as to ensure compliance with laws made by Parliament. Article 257 gives the Union power to issue directions to a State, including directions on the construction and maintenance of means of communication of national or military importance and on the protection of railways. Failure to comply with a Union direction is a ground on which the President may hold that the government of the State cannot be carried on in accordance with the Constitution. Article 261 provides for full faith and credit to public acts, records and judicial proceedings. Article 262 allows Parliament to provide for the adjudication of inter-State river water disputes and to bar the jurisdiction of courts, including the Supreme Court, in such disputes. Article 263 empowers the President to establish an Inter-State Council to inquire into and advise upon disputes and matters of common interest; the Council was set up in 1990 on the recommendation of the Sarkaria Commission. All-India Services, under Article 312, are a further link: their officers serve the States but are recruited and disciplined centrally.
Financial relations: Articles 264 to 293
Taxes are levied only by authority of law under Article 265, and the Union cannot tax the property of a State nor a State tax the property of the Union under Article 285 and Article 289. The Finance Commission under Article 280 is constituted by the President every fifth year or earlier, and recommends the distribution of the net proceeds of taxes between the Union and the States, the principles governing grants-in-aid from the Consolidated Fund of India, and measures to augment the resources of panchayats and municipalities. Statutory grants come under Article 275 and discretionary grants under Article 282. A State may borrow within India on the security of its Consolidated Fund under Article 293, but needs the Union's consent while any loan from the Union is outstanding. The 101st Amendment Act of 2016 inserted Article 279A, creating the Goods and Services Tax Council, a joint forum of the Union and the States chaired by the Union Finance Minister, in which the Union holds one-third and the States together two-thirds of the weighted votes and decisions need a three-fourths majority.
Commissions and committees
| Body | Set up | Note |
|---|---|---|
| Rajamannar Committee | 1969, by the Tamil Nadu government | Sought abolition of the Planning Commission and of Articles 356, 357 and 365 |
| Anandpur Sahib Resolution | 1973 | Demanded that the Union keep only defence, foreign affairs, communications, currency and railways |
| Sarkaria Commission | 1983, under Justice R. S. Sarkaria | Reported in 1988; recommended a permanent Inter-State Council and sparing use of Article 356 |
| Punchhi Commission | 2007, under Justice Madan Mohan Punchhi | Reported in 2010; suggested localised emergency and a fixed procedure for appointing Governors |
Revise the chapter as three columns of articles, one list of the five routes into the State List, and four commission names with their years. That is exactly the shape in which the questions come.
Exam Point of View
Questions are almost always article-to-subject or subject-to-list matching: which article carries residuary powers, which article allows Parliament to legislate on a State subject after a Rajya Sabha resolution, which article created the GST Council. The common traps are Article 248 confused with Article 246, Article 249 with Article 250, and Article 262 with Article 263. List questions test odd placements: police, prisons and public order are State subjects, while criminal law and criminal procedure are Concurrent and census and banking are Union subjects. Commission questions ask the chairperson and the year of appointment, so keep Sarkaria 1983 and Punchhi 2007 apart from their report years of 1988 and 2010.
Important Facts
| Legislative and administrative relations | Part XI, Articles 245 to 263 |
|---|---|
| Financial relations | Part XII, Articles 264 to 293 |
| Three lists | Seventh Schedule, under Article 246 |
| Residuary powers | Parliament, Article 248 with entry 97 of the Union List |
| Repugnancy | Article 254: central law prevails on Concurrent subjects |
| Inter-State Council | Article 263; constituted in 1990 |
| River water disputes | Article 262 |
| Finance Commission | Article 280, every fifth year |
| GST Council | Article 279A, 101st Amendment Act, 2016 |
| Discretionary grants | Article 282 |
| State borrowing | Article 293 |
| Sarkaria Commission | Appointed 1983, report 1988, Justice R. S. Sarkaria |
| Punchhi Commission | Appointed 2007, report 2010, Justice M. M. Punchhi |
| 42nd Amendment, 1976 | Moved five subjects from the State List to the Concurrent List |
Practice MCQs on this topic
Which one of the following is not included in the state list in the Constitution of India?
- A.Police
- B.Law and Order
- C.Prison
- D.Criminal Procedure Code
Show answer
Correct answer: D. Criminal Procedure Code
Explanation
The correct answer is D, Criminal Procedure Code. Criminal procedure is an entry of the Concurrent List, List III of the Seventh Schedule, along with criminal law and the law of evidence, which is why the code of criminal procedure has always been a central law that States may amend with the President's assent. Option A is wrong because police is a classic State subject in List II, and so policing remains a responsibility of the State government. Option B is wrong because public order, usually written in question papers as law and order, is also an entry of the State List. Option C is wrong because prisons, reformatories and borstal institutions are listed in List II as well. Remember the pair that examiners exploit: the crime and its trial are Concurrent, but the force that investigates and the jail that holds the convict are State subjects.
Residuary powers of legislation are vested in Parliament by which Article of the Constitution?
- A.Article 246
- B.Article 248
- C.Article 249
- D.Article 254
Show answer
Correct answer: B. Article 248
Explanation
The correct answer is B, Article 248. Article 248 gives Parliament the exclusive power to make a law on any matter not enumerated in the Concurrent List or the State List, and the power to impose a tax not mentioned in either of those lists; entry 97 of the Union List says the same thing from the other side. Option A is wrong because Article 246 only distributes subjects among the three lists and settles their order of priority. Option C is wrong because Article 249 is the route by which Parliament legislates on a State subject after a Rajya Sabha resolution, which is a different power altogether. Option D is wrong because Article 254 deals with repugnancy between a central and a State law on a Concurrent subject. India placed residuary powers with the Centre, following Canada, unlike the United States and Australia, where they stay with the units.
If a State law on a subject in the Concurrent List is repugnant to a law made by Parliament, which of the following is correct?
- A.The State law prevails in that State
- B.Both laws become void
- C.The law made by Parliament prevails and the State law is void to the extent of the repugnancy
- D.The Supreme Court must decide which law applies in each case
Show answer
Correct answer: C. The law made by Parliament prevails and the State law is void to the extent of the repugnancy
Explanation
The correct answer is C. Article 254(1) lays down that where a State law is repugnant to a law made by Parliament on a Concurrent subject, the parliamentary law prevails and the State law is void to the extent of the inconsistency. Option A is wrong as a general statement, though there is a narrow exception in Article 254(2): a State law reserved for the President and given assent prevails in that State, and even then Parliament may override it later by a fresh law. Option B is wrong because the central law is untouched; only the repugnant part of the State law falls. Option D is wrong because the rule of supremacy is written into the Constitution and does not depend on a judicial choice in each case, although courts do apply the doctrine of pith and substance to test whether a real conflict exists.
The Inter-State Council in India was constituted under which Article of the Constitution?
- A.Article 261
- B.Article 262
- C.Article 263
- D.Article 280
Show answer
Correct answer: C. Article 263
Explanation
The correct answer is C, Article 263. Article 263 empowers the President to establish by order an Inter-State Council charged with inquiring into and advising upon disputes between States, investigating subjects of common interest, and making recommendations for better coordination of policy. The Council was actually set up in 1990, acting on a recommendation of the Sarkaria Commission. Option A is wrong because Article 261 deals with full faith and credit to public acts, records and judicial proceedings across India. Option B is wrong because Article 262 covers the adjudication of inter-State river water disputes and allows Parliament to bar the jurisdiction of courts in them. Option D is wrong because Article 280 is the Finance Commission. Keep 261, 262 and 263 in that order: credit, water, council.
The Commission on Centre-State Relations appointed in 1983 was chaired by whom?
- A.Justice M. M. Punchhi
- B.Justice R. S. Sarkaria
- C.Dr P. V. Rajamannar
- D.K. Santhanam
Show answer
Correct answer: B. Justice R. S. Sarkaria
Explanation
The correct answer is B, Justice R. S. Sarkaria. The Union government appointed a three-member Commission on Centre-State Relations in 1983 under Justice Rajinder Singh Sarkaria, a retired judge of the Supreme Court; it submitted its report in 1988 and recommended a permanent Inter-State Council, sparing use of Article 356, and consultation with States before legislating on Concurrent subjects. Option A is wrong because Justice Madan Mohan Punchhi, a former Chief Justice of India, headed the later commission appointed in 2007, which reported in 2010. Option C is wrong because Dr P. V. Rajamannar chaired the committee set up in 1969 by the Tamil Nadu government, not by the Union. Option D is wrong because K. Santhanam is associated with the committee on the prevention of corruption of 1962, a different subject entirely.
Under Article 249, Parliament may legislate on a subject in the State List if the Rajya Sabha passes a resolution supported by
- A.a simple majority of the members present and voting
- B.two-thirds of the members present and voting
- C.two-thirds of the total membership of the House
- D.three-fourths of the members present and voting
Show answer
Correct answer: B. two-thirds of the members present and voting
Explanation
The correct answer is B. Article 249 provides that if the Rajya Sabha declares by a resolution supported by not less than two-thirds of the members present and voting that it is necessary or expedient in the national interest, Parliament may make a law on a matter in the State List; such a law stays in force for one year and may be extended for one year at a time by a fresh resolution. Option A is wrong because a simple majority is not enough for this special power. Option C is wrong because the requirement is of members present and voting, not of the total membership, a distinction examiners test often. Option D is wrong because a three-fourths majority belongs to the GST Council under Article 279A. Note also that only the Rajya Sabha, as the House of the States, can pass this resolution.
The Finance Commission of India is constituted by the President under which Article, and at what interval?
- A.Article 275, every third year
- B.Article 280, every fifth year or earlier if necessary
- C.Article 282, every fourth year
- D.Article 293, every fifth year
Show answer
Correct answer: B. Article 280, every fifth year or earlier if necessary
Explanation
The correct answer is B. Article 280 requires the President to constitute a Finance Commission every fifth year, or at such earlier time as the President considers necessary, consisting of a chairman and four other members. It recommends the distribution of the net proceeds of shareable taxes between the Union and the States and among the States, the principles governing grants-in-aid out of the Consolidated Fund of India, and measures to augment the resources of panchayats and municipalities. Option A is wrong because Article 275 deals with statutory grants-in-aid to States, not with the Commission. Option C is wrong because Article 282 covers discretionary grants for any public purpose, made by the Union or a State. Option D is wrong because Article 293 is about State borrowing, which requires Union consent while a Union loan is outstanding.
The Goods and Services Tax Council was created by inserting which Article into the Constitution?
- A.Article 279A
- B.Article 268A
- C.Article 246A
- D.Article 269A
Show answer
Correct answer: A. Article 279A
Explanation
The correct answer is A, Article 279A. The Constitution (One Hundred and First Amendment) Act, 2016 inserted Article 279A, under which the President constitutes the GST Council, chaired by the Union Finance Minister, with the Union Minister of State for Finance and a minister nominated by each State as members. Option B is wrong because Article 268A, which had dealt with service tax, was omitted by the same amendment. Option C is wrong because Article 246A is also a creation of that amendment but it confers the power to make laws on goods and services tax on both Parliament and the State legislatures; it does not create the Council. Option D is wrong because Article 269A provides for the levy and apportionment of GST on inter-State supplies. All four articles belong to the same amendment, so read the question for the body being asked about.
Which of the following five subjects was NOT transferred from the State List to the Concurrent List by the 42nd Amendment Act of 1976?
- A.Education
- B.Forests
- C.Public health and sanitation
- D.Weights and measures
Show answer
Correct answer: C. Public health and sanitation
Explanation
The correct answer is C, Public health and sanitation, which remains an entry of the State List. The 42nd Amendment Act of 1976 moved exactly five subjects from the State List to the Concurrent List: education, forests, weights and measures, protection of wild animals and birds, and administration of justice with the constitution and organisation of all courts except the Supreme Court and the High Courts. Option A is wrong because education is the best known of those five transfers, and it is the reason both Parliament and the State legislatures now legislate on schooling. Option B is wrong because forests moved in the same year, which is why the Forest Conservation Act of 1980 is a central law. Option D is wrong because the establishment of standards of weights and measures was already a Union entry, and the State entry on weights and measures was shifted to the Concurrent List by this amendment.
Which Article allows Parliament to provide for the adjudication of disputes relating to the waters of inter-State rivers and to bar the jurisdiction of courts in such disputes?
- A.Article 256
- B.Article 257
- C.Article 262
- D.Article 263
Show answer
Correct answer: C. Article 262
Explanation
The correct answer is C, Article 262. Article 262 lets Parliament provide by law for the adjudication of any dispute or complaint about the use, distribution or control of the waters of an inter-State river or river valley, and it also permits Parliament to provide that neither the Supreme Court nor any other court shall exercise jurisdiction in such a dispute; the Inter-State River Water Disputes Act of 1956 was enacted under it, and tribunals are set up under that Act. Option A is wrong because Article 256 obliges a State to exercise its executive power so as to ensure compliance with laws made by Parliament. Option B is wrong because Article 257 deals with the Union's control over States, including directions on communications of national importance and on the protection of railways. Option D is wrong because Article 263 creates the Inter-State Council, an advisory body, not a tribunal.
Frequently Asked Questions
Which article gives residuary powers to Parliament?
Article 248, read with entry 97 of the Union List, gives Parliament the exclusive power to legislate on any matter not enumerated in the Concurrent List or the State List, including the power to impose a tax not mentioned in those lists.
Can Parliament make a law on a State List subject?
Yes, in five situations: a Rajya Sabha resolution under Article 249, a National Emergency under Article 250, a request by two or more States under Article 252, the implementation of an international agreement under Article 253, and President's rule under Article 356.
Are police and public order Union or State subjects?
Both are State subjects in List II, along with prisons, local government, public health and agriculture. Criminal law and criminal procedure, however, are in the Concurrent List, which is why the Indian Penal Code and the Criminal Procedure Code were central laws.
Which commissions have examined Centre-State relations?
The Rajamannar Committee of 1969, set up by Tamil Nadu, the Sarkaria Commission of 1983 which reported in 1988, and the Punchhi Commission of 2007 which reported in 2010. The Administrative Reforms Commission also studied the subject.
What is the voting pattern in the GST Council?
Under Article 279A every decision needs a majority of three-fourths of the weighted votes of the members present and voting. The Union has one-third of the weight and all the States together have two-thirds.
Sources
- The Constitution of India, Part XI and Part XII, Articles 245 to 293 — Ministry of Law and Justice, Government of India
- Indian Constitution at Work, Class XI, Chapter on Federalism — NCERT
- Report of the Commission on Centre-State Relations, 1988 — Inter-State Council Secretariat, Ministry of Home Affairs





